Tesla has received the first license to test its Full Self-Driving (FSD) in China. The company is now allowed to test its software on the roads of Nanhui New Town in Shanghai.

Tesla may conduct testing using up to ten vehicles, local media reported, citing local officials. With this test license, the company has taken an important step toward promoting its product in the world’s largest automotive market. China is also the market where Tesla will face its fiercest competition.

Last month Nanhui officials were promoting the possibility of testing Tesla’s FSD and other smart new energy vehicles (NEVs) on the city’s roads. The efforts of the district and Tesla appear to have been successful. In May, sources also reported that Tesla was preparing to register FSD with Chinese authorities. The company wanted to implement this feature before the end of this year.

At the moment, FSD provides automated driving functions up to level 2 according to the Chinese classification. This means drivers still need to be attentive and be ready to intervene at any moment. However, Tesla’s FSD has extensive self-driving capabilities and is able to drive vehicles even in unfamiliar areas, unlike competitors’ software.

A few days ago, a source in the Shanghai municipal government confirmed to Chinese business newspaper, Caixin, that Tesla is allowed to put ten FSD test vehicles on the roads of Xinhui New Town. Although it is only a part of Shanghai, it is large and will provide useful information for the company to make possible improvements. Progress in licensing FSD in China became possible after Elon Musk made a visit to Beijing in April and met with Chinese Prime Minister, Li Qiang.

According to other media reports, Tesla will also test FSD in Hangzhou, a city of millions of people, in the near future. However, official confirmation of these reports has not yet been received.

Article edited by @SmokeyShorts; follow him on X

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